New German Winter Tyre Regulations
The German Bundesrat is set to ratify new winter tyre regulations in Germany by the end of the year. While the legislation will not actually require winter tyre usage it goes one step further than a simple recommendation. Under the new law, German drivers not using winter tyres in adverse weather conditions could be fined between 20 and 40 euros by police if they breakdown. And of course a new regulation along these lines will give insurance companies all the ammunition they need to refuse to pay-out for winter accidents involving cars fitted with summer tyres.
The German tyre trade have reacted positively to the news, suggesting the regulation will increase winter tyre awareness amongst drivers. Market analysts, however, question just how much of an impact the rules will have. “We don’t expect significant increase in winter tyre penetration rates – currently roughly 50 per cent or 20 million units,” Deutsche Bank analysts reported. From their point of view the low level of fines will do little to increase sales. “Overall, we don’t expect a big boost of [market leader] Continental’s winter tyre business,” the analysts added. According to Deutsche Bank. The German tyre manufacturer sells roughly 17 million winter tyres each year, of which 10 million are sold in its domestic market. The manufacturer reportedly sells a total of 76 million passenger car tyres in Europe annually.
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